The federal government has announced that the deduction of tax at source (Withholding) Regulations, 2024, has been published in the official gazette.
The Chairman, Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele made this known in a post on his verified X handle.
He added that the commencement date of the new regulations is 30th September 2024, while implementation begins on 1st January 2025.
This, he said, is to allow for a minimum of 90 days notice required for tax changes in line with the 2017 National Tax Policy.
Oyedele noted: “The Deduction of Tax at Source (Withholding) Regulations, 2024, has been published in the official gazette.
“The Regulations grant rates reduction and full exemption from Withholding Tax to many businesses, including SMEs with annual turnover not exceeding N25 million. Read further details here: fiscalreforms.ng/index.php/2024…
“The commencement date of the new Regulations is 30th September 2024, while implementation begins on 1st January 2025 to allow for a minimum of 90 days notice required for tax changes in line with the 2017 National Tax Policy.
“However, there is a provision permitting the Federal Inland Revenue Service (FIRS), with the approval of the Finance Minister, to issue guidelines for the implementation of the Regulations and where appropriate, permit early application of the Regulations from 1st July, 2024.
“The essence of this provision is to enable persons who wish to adopt the Regulations early to do so given that it is generally providing reliefs to businesses rather than imposing a burden.”
